How to Get a Business Loan with No Collateral

Obtaining a business loan may be necessary to get your business through tough times or help you pay for equipment, supplies. stock or pay for more employees. Getting a business loan with no collateral means that you don't have to put anything up, such as the equity on your home or business inventory, to obtain the loan.

Have good credit. Good credit can greatly help you obtain an unsecured business loan. Get a copy of your credit report and check for any negative information. If there is false or incorrect information on your report, you must file a dispute in writing and send proof to the three major credit card bureaus -- Experian, TransUnion and Equifax.

Apply for unsecured loans. Lenders rely on your promise to pay back the loan without collateral. With a little research, you can find these loans through different lending companies.

Turn to family and friends for personal loans to cover business expenses. You may be able to set up a flexible pay back schedule and pay them low interest that is much less than what a typical bank would charge.

Use credit cards, especially if you have a strong credit score. Apply for a high limit credit card with the lowest possible interest rate. Determine the amount you need and use only that for the business expenses you have.


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